If you do not answer the 403b or other qualified retirement plan question in step by step and go to the forms section for your 1099R at issue, after the data entry section at the top of the form, there is a question to "Check if not from a qualified retirement plan or IRA". If check this box, then go to RMD section and leave this blank as well as the RMD Excess Accumulation section. The result seems correct in that no additional tax is accessed on the distribution, but there is no way to report the RMD amount and that it was properly distributed. Furthermore, TT should not produce a Form 5329 if other RMDs were received. We have an inherited IRA that appears on 5329 despite RMD equaling distribution and no additional tax is calculated.
How do we know that TT programmers are aware of this issue and plan to fix it for our returns to be filed timely and accurately?
